Tax decreaseIn effectSocial security and healthcareNational

Abolition of employee health and unemployment contributions

Complete abolition of employee health (0.75%) and unemployment (2.4%) contributions, i.e. 3.15 fewer contribution points on gross salary. Compensatory measure for the CSG increase

Measure originators

InitiatorGVT

Bruno Le Maire

Gouvernement

General rapporteurEPR

Jean-René Cazeneuve

Ensemble pour la République

General rapporteurLR

Jean-François Husson

Les Républicains

Impact on public finances

Costs 14.2 bn €/yr2018 estimate · Social security

Source of the estimate: Sénat, rapport n° 77 (2017-2018) sur le PLFSS 2018, tome I (Official figure)

A positive amount is revenue or savings for public finances; a negative amount is a cost or lost revenue.

Effective date

1 January 2018

Measure impact

Removal of 3.15 points of employee contributions: health (0.75%) and unemployment (2.4%). Gain of +€260 per year for a worker on the SMIC (minimum wage). This reduction partly offsets the 1.7-point CSG increase. Net gain for workers, loss for non-modest pensioners.

Official references

Law number: Loi de finances 2018

Sources

Loi de finances 2018Official

30 December 2017

Procedure timeline

Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.

100%

2 / 2 steps

Completed

1 January 2018

Administrative implementation

Application

Entrée en vigueur de la mesure et mise en œuvre par l'administration

Employee contributions for sickness and unemployment removed effective January 1, 2018

Source

Completed

30 December 2017

President of the Republic signature

Promulgation

Publication au Journal officiel

Actors

Parlement

Promulgation of measure to remove employee contributions for sickness and unemployment insurance

Source